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HomeMy WebLinkAboutAgenda Report - December 19, 2012 C-17AGENDA ITEM C*411 CITY OF LODI COUNCIL COMMUNICATION Im AGENDA TITLE: Adopt Resolution Setting the City of Lodi Electric Utility's Energy Efficiency Program Ten -Year Target MEETING DATE: December 19,2012 PREPARED BY: Electric Utility Director RECOMMENDED ACTION: Adopt a resolution setting the City of Lodi Electric Utility's Energy Efficiency Program ten-year target. BACKGROUND INFORMATION: PerAssembly Bill 2021, State law requires publicly -owned electric utilities to identify all potentially achievable cost-effective energy efficiency savings, and to set targets for energy efficiency for the upcoming ten-year period. This information is used by the California Energy Commission (CEC), which is required to set statewide energy efficiency targets in consultation with the publicly -owned utilities, investor-owned utilities, and the California Public Utilities Commission. To assist in developing an energy efficiency targets model, the Northern California Power Agency (NCPA) and the Southern California Public Power Authority (SCPPA), retained the services of Navigant Consulting. All members of both NCPA and SCPPA then utilized a model created by Navigant to identify and develop their own energy efficiency targets. On the basis of analysis using the Navigant model, Lodi staff recommendsthat the City of Lodi's energy efficiency program target for the next ten years (2014 to 2023) be 34,791 megawatt hours (MWh) of electricity; i.e., the accumulation of efficiency measures implemented over the next ten years would reduce on-going energy usage by 34,791 MWh per year. Each annual target year (2014 through 2023) is 0.75 percent of total utility energy usage or sales. FISCAL IMPACT: Approximately $900,000 will be needed in the 2013-2014 fiscal year and subsequent years to meet the target. These funds, comparable to current expenditures on these programs, are collected and allocated annually from the Lodi Public Benefits Program underthe category of demand-side management and administrative program support. FUNDING: Included in FY 2012/13 BudgetAccount No. 164604and 164605. Jordan Ayers Deputy City Manager/Internal SeryicPs Director li et . Kirkley Electric Utility Diret,tm U PREPARED BY: Rob Lechner, Customer Service & Programs Manager EAK/RSUIst APPROVED: Bartlam, City Manager RESOLUTION NO. 2012-207 A RESOLUTION OF THE LODI CITY COUNCIL SETTING THE CITY OF LODI ELECTRIC UTILITY'S ENERGY EFFICIENCY PROGRAM TEN-YEAR TARGET WHEREAS, per Assembly Bill 2021, State law requires publicly -owned electric utilities to identify all potentially achievable cost-effective energy efficiency savings; and WHEREAS, State law requires publicly -owned electric utilities to set targets for energy efficiency every four years to cover the following ten years; and WHEREAS, Lodi Electric Utility staff has identified a target of 34,791 megawatt hours of electric energy savings from 2014 to 2023, or 0.75 percent of total utility energy usage during this period. NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council does hereby adopt a resolution setting the City of Lodi Electric Utility's energy efficiency program ten- year target as required under California law as outlined above. Dated: December 19, 2012 hereby certify that Resolution No. 2012-207 was passed and adopted by the City Council of the City of Lodi in a regular meeting held December 19, 2012, by the following vote: AYES: COUNCIL MEMBERS— Hansen, Johnson, Katzakian, Mounce, and Mayor Nakanishi NOES: COUNCIL MEMBERS — None ABSENT: COUNCIL MEMBERS — None ABSTAIN: COUNCIL MEMBERS— None I JOHL City Clerk 2012-207